Trade Aptitude

Yesterday’s results: Buying 5790.75 was only good for a 5-point scalp.  

Today’s Best S&P Futures Turning Points: Buy 5701.50 stop 5695.75. No short suggestion. 

The World Index: (+100/-100) drops from +30 to -40 with sentiment mostly Bearish. China/HK closed for a holiday week. 

Catalysts: ADP Non-Farm Employment Change @ 8:15. Fed’s Hammack @ 9:00, Musalem @ 10:05, Bowman @ 11:00, Barkin @ 12:15. Crude Oil Inventories @ 10:30. Mideast conflict accelerates. 

Quick Tip: FOMO/DOMO

If you watched the Chinese stock market’s reaction to the huge stimulus program recently announced you’ll have experienced FOMO. The charts for the internet related stocks were parabolic for days with massive gaps up. 

Fear Of Missing Out, FOMO, is an emotional reaction traders have when seeing what they could have had. Price is gaining momentum and you’re on the sidelines. Impulsively, you break your entry rules and chase the trade. 

The problem with chasing is regardless of the outcome, win or lose, you lose psychologically. The wins only reinforce undisciplined trading. 

The best way to overcome FOMO is to have an abundance mindset. The markets are a never-ending parade of opportunity. If you know there will be many great setups coming soon then the fear of missing the current trade fades. 

There is a subtle variation of this I’ll call DOMO, Disappointment Of Missing Out. This reaction occurs after the trade you should have taken is over. You missed a big winner. It fit your rules perfectly. For whatever reason, you weren’t there to take the trade. 

The solution is the same: have an abundance mindset. The best way to have that is by trading multiple assets or strategies. Stock traders with a hot list have plenty of abundance. Futures traders have far less to choose from, making multiple strategies a clear and logical alternative. 

Our trading teams focus on multiple strategies for day trading futures and high-probability candidates for swing trading options. Maybe you'll fit right in. You can try either or both risk-free. 

Trade Fearlessly,

Mike Siewruk

P.S.  Feel free to pass this along to your trading buddies. Share in the wealth!